Pirelli invests over a billion dollars in its American plant
According to a decision by the board of directors of Pirelli, the company will invest approximately 1.2 billion dollars in expanding its factory in Georgia (USA), which "already produces the most advanced solutions for the American market." The new investment is intended to strengthen Pirelli's position in the HighValue segment (which includes passenger car tires with diameters of 18 inches and above), and the company notes that the USA represents the world's largest market for this product category, accounting for 40% of global turnover.
Pirelli states that the new investment project will improve supply stability and meet growing demand for premium tires marked Made in USA, with implementation scheduled to begin in 2027. The factory, opened in 2002, will expand production of "smart" Cyber Tyre models, and approximately 1,000 new jobs are expected to be created.
The project will be carried out in two phases. The first phase involves expanding robotic production using Pirelli's patented MIRS (Modular Integrated Robotized System) technology, gradually increasing capacity to around 3 million tires per year. This type of production uses autonomous modular robotic systems that enable the manufacturing of high-tech premium tires. Additionally, a new automated production facility will be built, increasing the plant's total capacity by another 3 million tires.
The United States restricts the use of Chinese technology in the automotive industry, which previously posed challenges for Pirelli, as "smart" tires are capable of collecting and transmitting data in real time, and the largest shareholder in the company was the Chinese holding Sinochem. Measures were taken—including with the intervention of the Italian government—to limit Sinochem's influence over Pirelli's management, after which the company received approval from the U.S. Bureau of Industry and Security (BIS) to sell "smart" tires in the American market.
"The new project will allow Pirelli to gradually increase production capacity in line with changing demand, while maintaining high efficiency standards and optimizing raw material costs," the company said.
Pirelli adds that the new investment program will not affect the company's 2026 financial targets, and from 2027 to 2033, the ratio of capital expenditures to revenue is expected to remain at levels consistent with previous years.